Maplewood officials on Tuesday OK’d a plan to blight additional parcels of land south of Sunnen Company (and owned by Sunnen), and approved a development plan for the total of 21 acres, including tax abatement.
As a result, Cozad real estate company will begin preparing lots as soon as possible for a 3-acrea Porsche dealership and a 2-acre Maserati/Alfa-Romeo dealership.
“The sooner we get started the better,” G.T. Cozad, III, president of Cozad Group said
after the meeting. “In the winter months — trying to get some of the utilities to help us, it get’s hard — the water, the gas, the electric — that could delay us. We have permits for almost everything.”
The Porsche dealership is owned by IndiGO Group, which bought Parktown Porsche and recently Plaza Porsche, so this will be the only Porsche dealership in St. Louis, Cozad said.
Also, work should begin in late spring 2016 on five acres on a 174-unit apartment complex, to be two thirds one-bedroom and one third two-bedroom units. He said rent will be market rate — $1,000 – $1,600 per month. The apartments should be ready in spring 2017, with pre-leasing six months before that.
Cozad said he’s working on retail deals for the other two parcels on the site: an approximately one and a half acre site where the former Pro-Am Sports was, and six-plus acres adjacent to the apartment complex.
Matt Kreider, CEO of Sunnen Company, spoke in favor of the development. He said Sunnen has been in Maplewood 90 years, and is not leaving.
“Hoping to take what we’ve got and kick it up to the next level,” he said. “We’re grateful for the cooperation with you (Cozad). We know Maplewood is cooperating with us. It’s been a really good relationship for as long as I’ve been here.”
Cozad was given Chapter 353 tax abatements for up to 25 years after completion of a project, with 100 percent abatement for the first 10 years, and 50 percent for the next five years.
See also: Developer ready to begin 21-acre project, seeks tax abatement, Maplewood Plan & Zoning approves upscale apartments on Sunnen property
With the apartments, I dont see a parking garage or enclosed parking. Being that close to the Metro link, if Im paying $1,000.00 a month to rent or even own (if possible) I’m going to want a secure path from my car to my building. Maybe underground parking? Or parking like the condos at Allegro at the Boulevard or the Villas, even Hanley Station doesnt have secure parking, and for a few hundred more a month, people can live in Clayton that has secure parking.
I hope the apartments would be better looking than what is proposed. I would rather see single family development or apartments more in keeping with an older neighborhood. Perhaps with a craftsman style feel.
The tax abatement does not apply to sales tax. The developer is planning on adding retail stores to the additional parcels, so we would pick up sales tax there. With regard to car sales, my understanding is that you pay sales tax on where you register the car, so it does not mean that Maplewood would collect tax on car sales to non Maplewood residents. For any non vehicle sales at the dealerships, sales tax would be collected as normal.
By the way, it should be noted that the developer assembled the lots without asking for eminent domain assistance from the City.
If 21 acres were developed with single family homes (2-3 bedrooms) with 18 houses per acre (an acre is about the size of a football field), and if the real estate taxes were $2,000,
the combined real estate and personal property taxes would be approximately be $869,400
per year. The added benefits would be that Maplewood’s population would grow and many kids would be able to attend our outstanding school system.
The article has been corrected per Barry Greenberg’s comment. Thanks, Barry, and thanks for the additional information regarding the taxes the developer will pay.
Does everyone just agree to not comment on the insane expected rental prices? No one is paying $1k for a one-bedroom in Maplewood. Being next to an Alfa-Romeo dealership doesn’t make it fancy.
I would have to disagree with you. I own a complex here in Maplewood and my one bedroom rents are reaching $800 now. I could see a brand new, spacious building bringing in those types of rents.
The article inaccurately states the tax abatement terms. The developer was allowed a 100% abatement for 10 years and 50% for only five years. The tax abatement is based on the increased value of the development. Sunnen will still be paying $182,000 per year in taxes for the first ten years, at which time it will increase tax payments to between $413,000 and $438,000 for the next five years. After 15 years it is estimated that the developer will be paying between $902,000 and $1,020,000 per year in property tax. This is a significant increase over the taxes paid if the property was not developed. The developer indicated that they had discussed this with the president of the MRH school board and the superintendent, as they would be affected by any changes in the property taxes.
Barry, will the new development also be earning sales tax for the city?
Comments are closed.